VAEC8250 - Error Correction for VAT: Error returns: How to correct single registration number duplicate returns

Procedures for correcting single registration number duplicate returns

The following bullets explain the procedures to be followed when a trader renders a wrong period return form and then renders an identical claim using the correct return form for example where the trader renders period 03/07 figures on period 04/07 return.

  • the 04/07 return is immediately suspended since period 03/07 is missing. The trader then renders the same figures on the correct period 03/07 return.
  • the second return will reject because it is a repayment return which equals a previous repayment return. Banking Operations will re-input the rejected return as soon as it is generated as a rejection by the computer system.
  • this will release both returns for further processing and presuming neither of the returns fail credibility they will be credited to the trader’s account in the normal way. If the return fails credibility please refer to item 5 below.
  • Banking Operations will then send a Letter 11 form to the local office to advise you that the trader has submitted a duplicate return.
  • this will enable you to write to the trader querying whether both returns are in fact correct and enclosing a VAT 652 error correction notification form and Notice 700/45 “How to correct VAT errors and make adjustments or claims”.
  • the Letter 11 should be scanned to the trader’s electronic folder after the above action has been completed.
  • if the trader does not make an error correction before an assurance visit is arranged, particular attention should be made to the periods in question.
  • any errors discovered can then be corrected by VAT 641 action. The Letter 11 form should be conspicuously marked so that the attention of the assurance officer is drawn to it prior to the visit.
  • if the trader advises the department of the correct figures for the erroneous return before it is fully processed, error correction action will be required once it is processed to establish the true amount of tax for the period.
  • this action could result in the trader being charged interest and you should consult the Specialist Technical Team, see CH910000, for advice on whether this charge should be maintained.
  • if the re-input return fails credibility it will be referred back to the regional office for verification. In these cases the second return will also fail the credibility checks causing further delay. This return should be dealt with under the normal procedures for pre-repayment credibility and sent back to Banking Operations with the first return. This will enable them to amend the erroneous return and arrange for both repayments to be released.